New York question

[S T]

Calif t/p purchased residential real estate in New York, was going to be primary residence, sold Calif residence 4/06, moved to New York closed on house 5/15/06 and actual date of move 5/04/06.

Stayed til 7/13/06 and moved back to Calif. Didn't like NY. So can I use just as second home? Stayed with parents for a few months, then purchased another primary residence in Calif in 11/06.

Employed in NY from approx 5/10/06 - 7/10/06 and have W-2. do I indicate as part year resident for 2 months or non resident for 2 months. Still owns the home (hasn't sold still on the market for sale ) plus another rental property for all 12 months in NY. In the past we have filed non resident rental income in NY which shows as a loss.

I am thinking that I will show as full year resident in Calif, as gainfully employed the other 10 months here, plus has a rental here in Calif. Earnings in Calif $153,175, earnings NY $18,845 , CA rental -2335, NY rental -12,748.

Intent was to take up NY as resident state and leave Calif, but they just couldn't make it happen.

so a little confused as to whether part year in each NY and Calif, or simpfly and do full year Calif and non resident NY and just report the rental income as we have in the past.

Thoughts?

Thanks

Sandy

[BOB W]

Calif t/p purchased residential real estate in New York, was going to be primary residence, sold Calif residence 4/06, moved to New York closed on house 5/15/06 and actual date of move 5/04/06.

Stayed til 7/13/06 and moved back to Calif. Didn't like NY. So can I use just as second home? Stayed with parents for a few months, then purchased another primary residence in Calif in 11/06.

Employed in NY from approx 5/10/06 - 7/10/06 and have W-2. do I indicate as part year resident for 2 months or non resident for 2 months. PART YEAR RES > RENTAL PROPERTY MAY BE AN OFFSET TO EARNED INCOME???

Still owns the home (hasn't sold still on the market for sale ) plus another rental property for all 12 months in NY. In the past we have filed non resident rental income in NY which shows as a loss.

I am thinking that I will show as full year resident in Calif, as gainfully employed the other 10 months here, plus has a rental here in Calif. Earnings in Calif $153,175, earnings NY $18,845 , CA rental -2335, NY rental -12,748.

Intent was to take up NY as resident state and leave Calif, but they just couldn't make it happen.

so a little confused as to whether part year in each NY and Calif, or simpfly and do full year Calif and non resident NY and just report the rental income as we have in the past.

Thoughts?

Thanks

Sandy

Simple returns are always nice...... How about a temporary job ...........

[jainen]

a few months

Although buying a house and getting a job in New York, where he already had substantial interests, are indications of residency, it's clear that his California ties remained strong. Using the substance-over-form doctrine, you can see that he never established a change of residency. He was just domiciled in New York for a few months.

[S T]

Thanks

Thanks Bob W and Jainen,

Temporary job and the fact that they are still a Ca Resident and purchased a primary home in Calif in 11/06, NY home for sale, as well as the NY Rental property. I know Calif will be okay with it,full year CA, so we will hope NY will be okay as well with non resident status

Sandy

[jainen]

at the same time

>>NY will be okay as well with non resident status<<

New York will still be able to tax all the New York source income. Nobody is going to say, "Your honor, this person was a California resident for the whole year, except these two months in the middle of the year."

For another point of view, consider that it is entirely possible to be a resident of BOTH states at the same time.